What sense can we make of the madness at id Software?
Id Software, the studio behind Doom and Quake, cut 136 staff — more than half its workforce — as part of Microsoft's wider layoffs, which saw 1,600 Xbox jobs lost with another 1,600 at risk. The scale of the cuts sparked fears that id's proprietary id-tech engine could be abandoned in favour of Unreal Engine, and that the studio might be reduced to a support role, potentially folded into Call of Duty development. This matters because id is one of the industry's most respected and historic developers, and the cuts appear to contradict Microsoft's stated commitment to its core franchises.
Since the layoffs, id and Microsoft have offered reassurances that clash with the initial gloomy reports. Id issued a statement insisting it retains "the crew we need" to keep making its signature games and technology, while The Verge's Tom Warren reported the studio is already in early development on a new Doom title. Game director Hugo Martin said id has not been "gutted" and is now the same size it was during development of Doom 2016, adding that id Tech remains "alive and well." The article notes Xbox's patchy record of contradicting its own statements, but suggests the discrepancy may partly reflect how triple-A development staffing naturally shrinks between production peaks and quieter pre/post-production phases.
In short
- Id Software lost 136 staff, over half its workforce, in Xbox cuts.
- Fears grew that id-tech engine or Doom could move to Unreal.
- Id and game director Hugo Martin deny the studio has been "gutted".
Steelman: both sides, in good faith
The strongest fair case each way — we don't pick a winner.
The case for
The scale of these layoffs—cutting more than half of id's workforce in one move—represents a fundamental threat to the studio's independence and creative mission. Specific concerns about abandoning id Tech in favour of Unreal Engine suggest Microsoft may not be genuinely committed to preserving id's technological legacy, and Microsoft's documented history of contradicting its own statements about studio commitments raises legitimate questions about whether current reassurances will hold under future pressure. Losing that many staff erodes the institutional knowledge, creative relationships, and momentum that define a studio's character, making recovery difficult even if nominal commitments to franchises remain.
The case against
Game development naturally operates in production cycles where teams expand during active development and contract during quieter pre- and post-production phases, meaning the current workforce may match historical norms from comparable periods like Doom 2016. The concrete evidence of early Doom development already underway, combined with id's assurance that id Tech remains actively developed, indicates the studio's core mission is functionally intact despite the headline reduction. Game director Hugo Martin's specific statements, grounded in direct knowledge of the studio's actual capabilities and roadmap, deserve credence over speculation about worst-case scenarios, particularly when the evidence points to the studio moving forward with its signature work.
Explained simply
Id Software, one of gaming's most celebrated developers, has laid off 136 staff members—more than half its workforce—as part of Microsoft's cost-cutting programme across Xbox. The company created iconic games including Doom and Quake, and has long been respected for its technical innovation.
The scale of the layoffs raised concerns that id Software might lose its independence within Microsoft, be reduced to a supporting role, or have its proprietary technology abandoned in favour of cheaper alternatives. For many observers, the cuts appeared inconsistent with Microsoft's public statements about investing in core franchises.
Since the layoffs were announced, id Software and Microsoft have issued reassurances that the studio retains the resources and personnel to develop its signature games. These claims contrast with the initial reports and the concerns they raised, though observers note that Xbox has previously given conflicting statements about its strategic direction.
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